Energy Analytics

Ranking the Rock

byEnverus

One tool Enverus uses to evaluate and analyze different regions of a play is generating distinct geographical regions. Enverus uses a 2D map clustering algorithm to create geologically similar regions that are ranked based on rock characteristics. We then look at other factors like well activity, productivity and cost structure to assign breakevens to each region and to estimate the competitiveness of future drilling locations across a play.

In the Haynesville Shale in Texas and Louisiana, the geological factors with the largest influence on well productivity include porosity, depth and thickness (North America Basin Trends). By clustering the Haynesville play on these parameters, we obtained seven geologically distinct regions (Figure 1) and deepened our understanding of the quality of remaining inventory. These ranked clusters can help assess which areas currently hold the most upside potential and when lower-tier acreage comes into the money with improving prices. See our full analysis in our recent Haynesville Play Fundamentals report.

FIGURE 1 | Geologically-Derived Haynesville Clusters

 

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